October 29 – Gold $788.60 up $5.10 - Silver $14.32 up 15 centsCOMMERCIAL SIGNAL FAILURE: DJ Bank Of America To Close Base, Precious Metals Desks
GO GATA! ENOOOORME
You heard it here first. The long awaited Commercial Signal Failure, specifically alluded to on Friday again, is surely upon us. Regard:
DJ Bank Of America To Close Base, Precious Metals Desks-Sources
10:42 BAC Bank of America plans to close its base and precious metals desks -- Dow Jones (47.89 -0.14)
The headlines indicate that BAC plans to wind down its metals operations in London following Q3 losses, citing sources.
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=DJ Bank Of America To Close Base, Precious Metals Desks-Sources
By Andrea Hotter
Of DOW JONES NEWSWIRES
LONDON (Dow Jones)--Bank of America (BAC) is to close its base and precious metals desks in London and New York as it starts to cull workers amid significant losses in the third quarter, sources close to the situation told Dow Jones Newswires Monday.
Five employees in London and New York are affected by the move. The London team comprises Tony Shaw in charge of base trading and sales and precious metals trader Mike Corbi. The New York-based team comprises Russell Lynch, Miguel Vias and Jim Maloney in precious metals trading.
The metals trading book will be wound down over the next couple of weeks, the sources said. The move has surprised market participants as Bank of America's metals trading operations are just one year old and have seen revenues steadily improve each month.
Sources said more workers are expected to come under scrutiny as a result of the subprime losses.
"The metals trading book will be wound down over the next couple of weeks, the sources said."They will be trying to cover their shorts with gold on a rampage!
-By Andrea Hotter, Dow Jones Newswires; +44 (0)20 7842 9413;firstname.lastname@example.org
PS: this Wall Street Journal reporter continues to disregard GATA and anything we have to say.
Midas has said that The Gold Cartel would continue to sell and sell, but other tagalongs would be forced to cover, which clearly is the case with the dummies at Bank Of America (I mean how bad can you get?). How can you be forced to closed down an operation on one of the easiest trades of all time, IF you know what GATA has know for many years now? Tell them to take out a Café subscription and get on the GATA email list.
Can you imagine closing down your stock operation because the DOW hit 14,000?
What fun! May there be many more.
Based on what the gold open interest is doing, there will be. It went up another 14,112 contracts to 519,336. The silver open interest is finally on the move too. It rose 2713 contracts to 129,211.
One further point on this that is very important. We have always said that the Cartel made a fortune because they KNEW what was going to happen in the gold market because they were rigging it. So how could a bank closely allied to the Cartel have huge losses in Q3? The answer: They have lost control of the market and it went against them!
I am licking my chops at the momment.